After following workaround suggested by Xnyper I hit bug #536981

Dirty, unreliable fix was to remount the partition to /cdrom right after
hitting the 'install' button of the last step of the installer:

sudo mount -t iso9660 -o ro,noatime /dev/sdaX /cdrom/

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usb startup disk failed to unmount /cdrom when change partition tables
https://bugs.launchpad.net/bugs/292493
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